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Farming

WG unveils new farm support plans

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Brexit and Our Land: Welsh Government launches vital consultation

NEW proposals to support Welsh farmers after Brexit have been unveiled.

On Tuesday​ (Jul 10) the Cabinet Secretary for Energy, Planning and Rural Affairs Lesley Griffiths launched a consultation on a new Land Management Programme to support Welsh farmers post-Brexit, replacing the Common Agricultural Policy (CAP).

The latest Welsh Government Brexit paper, Brexit and our Land, proposes two new large and flexible schemes to replace Basic Payment Scheme (BPS), Glastir and other parts of the Rural Development Programme.

The programme will consist of the following two schemes:

The Economic Resilience Scheme will provide targeted investment to land managers and their supply chains. It will provide investment to increase competitiveness and make improvements in resilience and productivity for high-quality food production.

The Public Goods Scheme will provide a new income stream to land managers delivering public goods from the land. It will enable them to help address challenges such as climate change mitigation, habitat loss, poor air and water quality.

All land managers will have the opportunity to benefit from the new schemes, not just those currently receiving CAP. However, people will need to do things differently in return for this support.

Cabinet Secretary Lesley Griffiths said: “Welsh land matters. Over 90% of Welsh land is in the hands of our farmers, foresters or other stewards of the landscape. How land is managed matters to us all and our land managers have the potential to produce outcomes of huge importance to Wales.

“Once we leave the EU, our access to markets and how we compete will change so maintaining the status quo is not an option. Exiting the EU means we have to do things differently and now is the time to prepare. We need to change how we support our farmers and agriculture sector to make them sustainable and able to thrive in a new trading environment. We have the chance to design a ‘Made in Wales’ system that works for Welsh farmers and our communities.

“The Programme marks a significant change. That is why we want to see a phased transition that balances time needed for change with the need to provide timely support.

“Our new programme aims to keep farmers farming on their land and will enable the sector to thrive in a post-Brexit world.”

No changes will be made to the existing BPS scheme in 2018 and 2019 and all current Glastir contracts will continue to be honoured. From 2020, work will begin to move to the new schemes, including a phased reduction in BPS as new schemes come on-stream. The ambition is to have the new schemes fully in place by 2025 using existing high-performing Rural Payments Wales systems.

The proposals will be subject to extensive consultation until October, working closely with key partners. A white paper setting out detailed proposals will be published next spring and we will publish a Bill before the end of this Assembly session to make provision for the reform. Funding from old schemes will not be withdrawn until new schemes are ready.

Currently, the Common Agricultural Policy provides around £300m a year of support for Welsh land managers. The Brexit and our Land paper reiterates the importance that Wales should not lose a penny from leaving the EU and calls on the UK Government to urgently confirm that Wales will maintain its current share of funding.

NFU Cymru is urging farmers across Wales to make their voices heard following the launch oft he consultation.

The Union said the consultation will be ‘the most significant and important Welsh Government consultation for a generation’.

NFU Cymru will be undertaking a comprehensive member engagement programme over the coming months, which includes a dedicated consultation seminar at the Royal Welsh Show and similar briefings at the summer county shows, as well as five regional roadshow events across Wales in September, all designed to ensure farmers are able to respond effectively to the proposals.

Speaking following the launch of the ‘Brexit and Our Land’ consultation, NFU Cymru President John Davies said: “NFU Cymru’s vision for a future Welsh agricultural policy is built firmly on three cornerstones: productivity, volatility and the environment. Although this consultation considers in detail productivity measures (economic resilience) and environment measures (public goods), it appears to suggest that volatility (stability) measures are not required. While we accept that Welsh Government is proposing a multi-year phased removal of the BPS, it is the firm belief of the Union that given the unprecedented weather events of the last year and the impact that has had on the industry, coupled with continued global political instability and the ongoing uncertainty over future trading relationships, the case for maintaining stability measures as a strong element of any future agricultural policy has, in fact, never been more compelling if we are to ensure the continued supply of safe, quality, affordable food.

“The case for farm support is a strong one. Just last year the NFU commissioned research which showed that for every £1 invested by government in agriculture the industry delivers a return of around £7.40 – that’s a £1.5 billion return on the £200m a year currently spent on direct payments in Wales. Add to this the wider environmental, cultural and social contribution of farming and there can be little doubt that the industry represents extremely good value for money. Removing direct payments would have a massive impact on the Welsh agricultural industry and because farming is so intrinsically linked to the well-being of Wales, it would consequently have a similarly detrimental effect on the people and communities of Wales. The Welsh Government’s continued stance that Wales should not lose a penny as a result of Brexit is, of course, to be commended.

“NFU Cymru welcomes the opportunity for the Welsh agricultural industry to take a closer look at Welsh Government’s thinking around the future of agricultural policy here in Wales. As a democratic organisation we will now begin an unprecedented level of engagement with our members and feed their views into our formal consultation response.

“Of course, this is not the first consultation on Brexit that NFU Cymru has undertaken; following the referendum vote just over two years ago NFU Cymru launched the biggest consultation in its history. Since that point NFU Cymru has formulated a set of key principles that we believe should form the foundations of a new domestic agricultural policy for a productive, profitable and progressive agricultural industry in Wales. As we begin to analyse and fully digest the consultation we will judge it against these key principles, which include:

  • A policy that underpins and secures the continued supply of safe, quality, traceable, affordable food for our nation, in the context of future global challenges, must be at the heart of any future agricultural policy.
  • All farmers must be fairly rewarded for the environmental/public goods they already deliver and will continue to deliver in future for society.
  • Policies must be simple to administer, easy to understand and target support at those active farmers who take the financial risks associated with food production.
  • Investment measures are required to ensure that farming businesses are well equipped to face the challenges and maximise the opportunities of a post-Brexit marketplace.
  • The regulatory regime must be proportionate and evidence-based and policies must be adequately funded to ensure that Welsh farming remains competitive with farmers in the UK, EU and globally.

“This is the most significant and important Welsh Government consultation for a generation and it is of paramount importance that farmers across Wales contribute their own views as part of the process – we need to ensure the industry’s voice is heard loud and clear.”

Commenting on the document, FUW President Glyn Roberts said: “What is proposed would constitute the most radical change to our farm policies since 2005, and is a world away from the kind of policies previously in place from 1947 onwards.

“Given this, it is essential that farmers take the time to consider them over the coming weeks and months and respond to the consultation appropriately.”

The Welsh Government intends to organise a number of events across Wales later in the year during which farmers and others will be able to learn more about the proposals and ask questions, before the deadline at the end of October.

Mr Roberts said that as the FUW is a member of the Cabinet Secretary’s Roundtable group and sub groups, the proposals did not come as a surprise.

“We have numerous concerns about what is being proposed, and we have been vociferous in raising these.

“Amongst these are the fact that the EU have recently announced their commitment to providing the farmers against which we will compete with ongoing direct support at levels similar to those currently in place,” said Mr Roberts.

“We also need to be aware of policy proposals in other parts of the UK and make sure Welsh policies do not place our farmers at a disadvantage.”

The Scottish Government has recently reiterated its commitment to recognising topographical and other handicaps faced by Scottish farmers and providing support payments which recognise these.

“Given we have a similar proportion of disadvantaged land to Scotland, it would be unacceptable if our own government placed us at a disadvantage to our Scottish counterparts,” he said.

Mr Roberts welcomed the fact that the paper acknowledged the need for an appropriate transition period, and raised the question of what a transition might look like.

“The FUW has made it clear since the June 2016 EU Referendum that we need an appropriate and lengthy transition period to any new policy, and that the dangers of implementing a policy over just a few years would be significant.

“We have also highlighted the need to take policy developments in terms of the next EU agricultural policy and the progress of Brexit negotiations into account, rather than rushing forward with detailed proposals which might turn out to be completely inappropriate under the final Brexit agreement.”

Mr Roberts said that the position agreed by the UK Government’s Cabinet on Friday on how agricultural commodities might be traded with the EU made it clear why the FUW was right to do this.

“Above all else, the interests and future of our family farms should be the priority in terms of any future policy for Wales.”

“The FUW will be consulting with each of its twelve county branches over the coming months, and their views will be fully reflected in our response to the Welsh Government.”

Business

Major development at Hayscastle farm refused by planners

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A CALL to allow a Pembrokeshire farm diversification which packages and distributes specialist medical equipment across Europe to relocate to an agricultural building has been turned down by county planners.

In an application to Pembrokeshire County Council, Mr Van Der Spoel of Castle Villa Farm, Hayscastle, through agent Harries Planning Design Management, sought permission for the relocation and expansion of an existing farm diversification business into an existing agricultural building.

A supporting statement said the applicant, together with his wife and adult daughter ran the farm diversification at their 135-acre sheep farm.

It added: “The business run from this site is FRIO ASTRID EURO Ltd, which has a franchise agreement with FRIO UK. This business has been run from Castle Villa since its incorporation in 1998. The business was initially run from the stable building on the farmyard at Castle Villa.

“The business set-up involves receiving stock from FRIO UK in Wolfscastle, packaging orders and distributing the stock to seven Western Europe countries. There are three employees, Mr Van der Speol, his wife and adult daughter who all live at Castle Villa.”

Wolfscastle-based FRIO produces the world’s first patented insulin cooling wallet which keeps insulin and other temperature-sensitive medicines cool and safe.

The supporting statement said the Castle Villa Farm business has now outgrown the site and scope for increasing the building is unviable, and all other buildings at the farm used for agricultural purposes.

It added: “In terms of a functional need for the business to be located at this site, the applicant still farms over 135 acres surrounding the site and 300 sheep. He could be needed at any given moment to tend to these sheep, especially during lambing season. Therefore, having the site just a seven-minute walk away is vital in ensuring the agricultural use is not lost at Castle Villa.

“Additionally, the products distributed from the site are medical products and therefore, efficiency of getting these products away to purchasers is vital. Losing hours each week commuting would drastically reduce the efficiency of the business and could result in a downturn of business.”

An officer report recommending refusal said a previous retrospective application for a steel-framed storage and distribution building was refused, with a later appeal dismissed, a later application conditionally allowing the building for an agricultural use.

It also said an appeal had been lodged with Planning and Environment Decisions Wales (PEDW) in early 2024 after an enforcement notice was served, adding an inspector later confirming the only ground upheld was the period for compliance with the notice was too short.

The scheme was refused by county planners on the grounds the development “does not derive its inputs from the land, it is not therefore an enterprise for which a countryside location is essential”.

It added: “In addition, robust evidence has not been provided to demonstrate that the type of activity being undertaken could not be accommodated, or would not be viable, within a nearby settlement or an allocated employment site.

“The development also fails to demonstrate that the scheme operates as a farm diversification. Therefore, it has not been demonstrated that the development is in an appropriate location.”

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Business

Petition to save Paternoster Farm hits nearly 2,000

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A PETITION calling for a full review and debate of Pembrokeshire’s “not fit for purpose” county farm policy has attracted nearly 2,000 signatures, triggering it being debated by councillors at a future meeting.

The Pembrokeshire County Council e-petition was launched by tenants being forced to leave their council-owned farm which is host to a Good Food Guide accredited restaurant, and attracted 1,822 signatures.

Paternoster Farm near Hundleton, which has a restaurant in the old milking shed, has featured in the Good Food Guide for the last three years.

The restaurant is run by former family solicitor, Michelle Evans, with this year’s Good Food Guide describing Paternoster Farm as ‘earthy and rustic’ with deliciousness, warmth and strength of recommendation all described as good, while the restaurant’s uniqueness was rated as very good.

However, the acclaimed business built up over the last four years is now under threat, as the ten-year farm tenancy with Pembrokeshire County Council comes to an end.

In the e-petition to Pembrokeshire County Council, which has now closed, Leum Evans asked: “We call on Pembrokeshire County Council to conduct a full and thorough review of county farm policy.

“We call for a declaration that current county farm policy is not fit for purpose when it fails to encourage diversification in a way that adds value to a farm’s own produce, keeps the produce within the farm, and feeds the local community, when policy fails to support a holding such as Paternoster Farm.

“We call for a motion of no confidence in both county farm policy, and the county farm estate department. We call upon Pembrokeshire County Council to commission an independent review of farm policy by suitably qualified (independent) third parties.

“We call for a full debate on the future of the county farm estate, and whether its continued existence, in its current form, can even be justified. We call upon Pembrokeshire County Council to commission how Public Procurement Policy could effect a link between county farms, and school meals in the county.”

The petition went on to say: “Current county farm policy has been shown to support neither farm diversification nor integration into the community. This has been illustrated by the recent treatment of the current tenants of Paternoster Farm.

“If county farm policy does not support and encourage our type of farming enterprise, one which farms the holding to its fullest whilst caring for the land, farms regeneratively, provides employment, fosters community links, supports a wealth of local businesses, supports local schools, feeds farm produce to the community every single week of the year, then it cannot possibly be said to be fit for purpose.”

It claims £50m of public money is invested in county farms for 42 tenants, adding: “Is this a fair and equitable distribution of local authority resources when county farm policy does nothing to encourage any benefit to the wider community?”

It finished: “It is all very well to seek to help new entrants into farming, but what are the authority really trying to achieve? Farming for farming’s sake is not enough. The authority has to ask, who will benefit, and to what extent?”

Pembrokeshire County Council has previously said that proposals at Paternoster were in line with council policy, with novice farmers being offered a smaller farm while they get established in the industry before moving on to bigger establishments.

“Pembrokeshire County Council owns a farm estate for the expressed purpose of providing those who wish to farm a way of entering into the industry,” said a council spokesman.

“To fulfil this function, tenancies are not for life but are for a fixed term, to enable tenants to ‘move on’ to larger farm holdings, as these tenants are being offered the opportunity to do.”

The council said that the 10-year lease entered into with Michelle and her family reflected this policy, with them now offered a tenancy at a larger council farm holding.

Anyone who lives, works or studies within the Pembrokeshire County Council area may sign or organise a petition. This includes anyone under the age of 18.

If the petition gets 500 signatures, the creator will have an opportunity to debate it at a full council meeting.

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Business

Food processing industry ‘in managed decline’

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THE FOOD processing industry in Wales is incredibly depressed about the future, with a fall in livestock numbers placing a question mark over its prospects, witnesses warned.

Nick Allen, chief executive of the British Meat Processors’ Association, told the Senedd’s rural affairs committee: “My members are incredibly concerned about the direction of travel.

“And it doesn’t just apply to Wales, [it’s] right across the whole country, but I think it’s particularly significant here: the decline in livestock numbers, the projections and, dare I say, the attitude and the desire… in the Welsh Government to actually drive a further reduction.”

Mr Allen said: “Big investors and employers in Wales are incredibly concerned about the future: more than concerned, I’d say incredibly depressed about what the future holds.”

He warned: “Unfortunately, it seems endemic within civil servants that they don’t really want to help industry and work with them. They seem to almost [act] as a police force to stop us doing things rather than thinking ‘this is what’s good for the country’.”

Mr Allen, who has been involved in discussions since the controversial sustainable farming scheme was paused by ministers, suggested the dial has barely moved in the months since. He described ministers’ approach to bluetongue disease as “another nail in the coffin”.

José Peralta, chief executive of Hybu Cig Cymru/Meat Promotion Wales, said livestock numbers have dropped significantly and will likely continue to fall.

Jose Peralta, chief executive of Hybu Cig Cymru/Meat Promotion Wales
Jose Peralta, chief executive of Hybu Cig Cymru/Meat Promotion Wales

Giving evidence on June 2, he warned: “That poses a big question mark about how do we carry on in the future with an industry that remains competitive.”

Kepak, a family owned business which runs a beef and lamb processing site in Merthyr Tydfil, employing 1,000 people, raised urgent and grave concerns about livestock numbers.

In its written evidence, the company said: “The efficiency and viability of our operations and the jobs that we provide rely on a critical mass of livestock.”

Asked about the Welsh Government’s 2021 vision for the industry, Mr Peralta said: “It’s a set of very nice and good aims but I struggle to see sometimes what’s underneath that’s going to drive all the different elements to get to that final aim.”

Raising the example of Ireland, he added: “They have conviction, they have ambition and they put money behind it. And those are the three things… we would have to change.”

Andrew RT Davies, who chairs the rural affairs committee which is holding an inquiry on food processing, questioned whether Wales is “chasing a hare we will never catch” amid falls in livestock numbers and a dramatic decline in abattoirs.

Welsh Conservative leader Andrew RT Davies
Welsh Conservative leader Andrew RT Davies

The Tory asked: “Or are we just managing the decline of the livestock sector here in Wales?”

John Thorley, chairman of the Association of Independent Meat Suppliers, warned changes introduced by the Welsh Government have reduced farmers’ confidence.

“That is, I believe, underlying everything,” he said.

Mr Allen told the committee: “I don’t know whether it’s accidental or deliberate but it feels as though we’re just managing decline. I find it really frustrating.”

Warning many schemes aimed at helping farmers are “totally contrary to what you ought to be doing”, he stressed that Wales has one of the best climates for livestock in the world.

He said: “It seems as though we’re just managing decline and wanting to get rid of it.

“And for what? To my mind, to be brutal about it, it’s a form of nimbyism [not in my back yard]: you’re going to head towards a net zero in Wales, wonderful – but you’re going to be importing a load of meat from the rest of the world.”

Rhun ap Iorwerth, who represents Ynys Môn which has lost two large slaughterhouses, asked whether the abattoir network should be a critical part of national infrastructure.

Plaid Cymru leader Rhun ap Iorwerth
Plaid Cymru leader Rhun ap Iorwerth

Mr Allen agreed with the Plaid Cymru leader’s suggestion, saying: “What’s the point in farmers producing livestock if you haven’t got the processing sector?”

Mr Peralta, who runs an abattoir on Anglesey and previously closed another, said: “That was for a single reason, not enough livestock… that is the fundamental issue.

“When you look at it, Wales slaughtered two-and-a-half million sheep last year – compare that to three million just in Anglesey eight-nine-10 years ago.”

Mr Thorley said: “We need more abattoirs. But we also need controls which are appropriate. The controls… at the moment are over the top, far too expensive and don’t actually deliver.”

John Thorley, chairman of the Association of Independent Meat Suppliers
John Thorley, chairman of the Association of Independent Meat Suppliers

He added: “I look at it sometimes and I get—disgusted is the wrong word but I find myself feeling ‘what the hell is going on?’. We wanted there to be a government in Wales – it could do such a lot but I don’t see it, I don’t see the evidence.”

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